A grant can cover part of your digitalisation costs, but not every software purchase qualifies. First, check whether your company, project and planned expenditure meet the requirements of the specific funding call.
Where to start
Define the problem you want automation to solve: duplicate data entry, accounting errors, delayed orders or poor inventory control. Document your current costs and expected outcomes. Rather than promising to “improve efficiency”, explain which process will change, how you will measure the improvement and what implementation will cost.
Which programme to consider
For off-the-shelf CRM, ERP or manufacturing solutions, start with national and regional digitalisation programmes. Check the type of support available: it may be a grant, a preferential loan or a subsidised service. Poland’s Fundusze Europejskie portal, for example, lists funding options for business digitalisation.
Horizon Europe supports research and innovation. It is not a general-purpose fund for buying office software. The EIC Accelerator, part of Horizon Europe, supports start-ups and SMEs with breakthrough innovations and the potential to scale. Under the 2026 programme, the standard grant component is below €2.5 million and covers up to 70% of eligible costs. The remainder must come from other permitted sources. The company’s contribution is therefore not “30% of the grant amount”.
Digital Europe supports the deployment of digital technologies. Each call sets its own scope, funding rate and requirements for applicants and partners; there is no single funding rate for all projects.
European Digital Innovation Hubs can also help you assess your digital maturity, test technologies before investing and train your team. This support does not necessarily take the form of a cash grant to your company.
|A programme’s existence does not mean applications are open. Check the current call, deadline and eligibility of companies registered in your country.
What to check before applying
- Applicant eligibility: country of registration, company size, ownership structure, sector and partnership requirements.
- Eligible costs: licences, integration, equipment, training and contractors’ services must meet the call’s conditions.
- Timing: when expenditure becomes eligible and whether work can start before the application is submitted or approved.
- Funding plan: your contribution, costs outside the grant’s scope and cash flow while awaiting payments.
Do not place binding orders before checking the rules on when the project can start. Purchases made too early may not qualify for funding.
Legal documentation
Review the grant agreement’s requirements for project deliverables, payments, reporting, amendments, checks and repayment of funds. The agreement determines the advance payment and reporting schedule: there is no universal “40% advance” or “six-monthly reporting” rule.
Purchases must comply with programme rules and applicable law. For many directly managed EU grants, value for money and the absence of conflicts of interest are central requirements. There is no blanket rule requiring a tender for every Digital Europe purchase above €30,000.
Supplier contracts should specify deliverables, deadlines, acceptance criteria, software rights and data access terms.
Accounting and reporting
The evidence required depends on the funding model:
- Actual-cost funding: accounting records and supporting documents must substantiate the costs claimed and their connection to the project. VAT, depreciation and double-funding rules also need to be checked.
- Lump-sum funding: payments are linked to the completion of agreed work packages rather than reimbursement of individual invoices. National accounting and tax obligations still apply.
Audit requirements and document retention periods are set by the funding rules and grant agreement. A grant does not automatically require a switch to IFRS or another GAAP framework: the company must follow the accounting standards applicable to it and the programme’s requirements.
How LFT Advisors can help
We review your company’s eligibility, legal obligations, budget and accounting arrangements. We help prepare the documentation, put contractor agreements in place and organise reporting.
Planning to automate your business? Send us your company’s country of registration, a description of the project and an indicative budget. We’ll identify which funding options are worth exploring.
